Thursday, April 24, 2014
Press Releases

LIVE FROM THE LOCAL MEDIA DEALS & PROMOTIONS SUMMIT

The Deals Store Model

By Nancy Lane, president, Local Media Association

Liz White, Vice President, New Media, The Record Journal, Meriden, CT (Circulation about 18K), presented a case study about their success using the Deals Store model to increase their deals revenue.

Strategy & Success Behind Deal Stores

       Good for advertisers – no out of pocket cost and no risk as usual; receive a lot of additional print & digital promotion

       Good for customers – lots of local deals & big discounts to choose from; creates a shopping mall & browsing experience

       Good for reps – easier to see around a theme; it’s another tool in their kit; their customers are happy with the additional promotion; extra bonus $ for highest revenue deal in each store (in additional to regular monthly bonuses)

       Good for newspaper – new revenue, new advertisers, positive buzz in the community

5 Stores This Year:

  • Cyber Monday Deal Store – to capitalize on the hype (they left it up for 2 days; they will go longer this year)
  • Reader’s Choice Deal Store – they know that these are guaranteed popular local businesses
  • Deals for Dads Deal Store – this enabled them to try a holiday theme (golf deals were popular)
  • Pizza Night Deal Store – this was the least successful store for them but was still worth trying (wasn’t unsuccessful though)
  • Restaurant Deal Store – they know that restaurant deals sell well

Coming Up:

  • Thanksgiving Cyber Sales – doing a “Thanksgiveaway” $250 sweepstakes now leading up to the store
  • Stocking Stuffer – leading up to Christmas Day
  • New Year’s Eve
  • New Year’s Resolutions

Deal Store Details:

  • # of deals: 10-20, but maintain high quality
  • Length of store: 7-14 days
  • Types of deals: always include restaurants & don’t be afraid to include unique deals & high price points.
  • Lots of promotion!

Best Performing Deals:

  • Seafood
  • Hibachi & Sushi
  • Ice Cream
  • Italian
  • Diner
  • Car Detailing
  • New Haven Restaurant Tour
  • Brewery Tasting & Tour
  • Massage

Deals Store Results:

  • Net revenue per store $1500-$7000
  • # of deals purchased per store: 405-1,342 – with average of 1,000+ deals
  • # of first time purchasers: 70-267
  • New people who signed up to receive emails:  70-294

Huge Promotional Package: Print

  • Large ad in paper lists all participating businesses
  • Spadea wrap around page 1 of the daily newspaper
  • Page 1 teaser promotion on the daily paper 3 times during store
  • Quarter page ad runs 5 times in daily newspaper during the store
  • Page 1 promotion in all 8 weekly papers
  • Quarter page also runs in the weekly papers

Huge Promotional Package: Digital

  • Emails
  • Their web site (peel ad on home page)
  • Mobile
  • Facebook, etc.

Others in the audience were also having success with the deals store model. Stay tuned for more live updates during the day from the Local Media Association’s Deals & Promotions Summit.



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